Long-Term Transmission Rights

The cross-regional roadmap reflects the main objectives of the CACM FG that set the target model. The objective is to give market participants the possibility to hedge themselves against congestion costs and day-ahead congestion pricing, in a manner compatible with zone delimitation, through one single access point and a harmonised set of rules for long-term transmission rights, where financial markets do not enable them to do so in an efficient manner.
 

In order to achieve this objective, four areas of work have been identified:

  1. Harmonisation of the allocation rules since existing allocation rules may differ greatly among themselves and from the CACM FG. The CACM FG envisages a harmonised set of rules for borders where PTRs with UIOSI are applied and a harmonised set of rules for borders where FTRs are applied.
  2. Harmonisation of the allocation platform as today transmission rights are allocated on different platforms. The CACM FG requires TSOs to implement a single platform (point of contact) at the European level.
  3. Harmonisation of nomination procedures as the variety of procedures for using transmission rights may represent a barrier for some market players. As set out in the CACM FG, there should be greater harmonisation of nomination rules, deadlines and processes.
  4. The implementation of FTRs may require a change in regulation. In order to study this issue a dedicated ACER task force has been created. Member States and regulators will have to assess this question carefully when deciding on the long-term transmission rights to be implemented.

CRE (FR) and EI (SE) are co-leading the European Platform for the Allocation of Long-Term Transmission Rights Project.

Cross-regional roadmap on Long-Term Transmission Rights can be downloaded here: Final Version Cross-Regional roadmap LT Transmission Rights.pptFinal Version Cross-Regional roadmap LT Transmission Rights.ppt

Following the public consultation, launched in 2012, the timeline for the above roadmap, in particular for the European set of auction rules and the European allocation platform, has been extended by one year i.e. the end of 2014.

For the most recent developments, achievements and challenges related to this project, please read the quarterly reports.

Regional Work plans 2011-2014 can be accessed here.